Tortoise Economy

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DEFINITION of 'Tortoise Economy'

An economy that is growing slowly or not at all over time. The classic example of a tortoise economy is the Japanese economy during the Lost Decade in the 1990s. During that time, interest rates remained near 0% while economic expansion was non-existent.

INVESTOPEDIA EXPLAINS 'Tortoise Economy'

The phrase "tortoise economy" was first popularized by Robert Reich in his description of the U.S. economy during the financial crisis that began in 2007-08. In the years following the recession, U.S. growth remained slow, and interest rates were very low.

In economics, producer surplus is the difference between the price at which the producer actually sells a product and the minimum price the producer would have accepted for the product. The surplus ...